Posted on 03/15/2025 3:53:35 AM PDT by vespa300
California Insurance Commissioner Ricardo Lara provisionally approved State Farm’s request for a 22% property insurance rate hike, citing a need to stabilize the insurance market.
Lara said State Farm must justify its provisionally approved rates with data it provides in a public hearing. He also called upon the company to both halt non-renewables and secure a $500 million cash infusion from its parent company.
“To ensure long-term choices for Californians, I had to make an unprecedented decision in the short term,” said Lara in a statement. “It is evident that other California insurers are unable to absorb State Farm’s existing customers, which poses a significant risk of these customers ending up on the FAIR Plan — a scenario we all wish to avoid as my Sustainable Insurance Strategy is implemented.”
(Excerpt) Read more at justthenews.com ...
did all CA politicians and traitors take out fire insurance
on the properties BEFORE they were lit,
OR only those trained at BU?
This will hurt bad.
There are plenty of good, responsible people in Cali who don’t live in the “blue” areas.
This has to suck for them. What would piss me off to no end would be knowing that had the LA region just taken a sensible approach to land management (instead of acting like wack jobs), this wouldn’t be necessary because there wouldn’t be such a disaster.
Yeah, one can only imagine how much things like Conda HOA dues are going to be after this.
I already see some conda HOA dues close to or over $1000! The dues include insurance.
Yeah, this is gonna hurt.
Oh great. I know this is Cali and I’m in Texas. Just switched from USAA to Statefarm and saved a staggering 800 dollars annually on my home insurance... for the same coverage. It won’t be too much longer before this spills nationally. If they are struggling there, they will make it up elsewhere. Sorta like the fast food joints when they raised minimum wage. Other locals had to price increase for sustainability.
“Going back to Cali.....I don’t think so. Wow.... “
It will not be just Ca. This is going to reset pricing across the whole market. All the insurers everywhere will jump on the price fixing wagon and raise theirs up also across the board and whole industry.
You can bet on it... They always do...
I’ve heard that up to 15% of Florida’s homeowners have just given up trying to insure their homes. They’re uninsured. If you don’t have a mortgage, you can do it, and given that the insurance companies generally find a way out of paying claims, they might as well save their money and pay for any issues themselves.
Likely even the so-called blue areas didn’t vote for this.
Deep State has to steal CA’s elections for a reason.
We tell you how to run your business right up to the point of bankruptcy, then WE TELL YOU WHAT TO DO OR ELSE! Way to go California, all businesses should leave California! Move while you still can!
Yes, just happened to a friend of mine during the last Hurricane. They did cover damage, but they doubled his rates after. Now he is in a pickle and can’t even sell the place to get out from under it. He is going to end up paying four times what the place is worth or have to walk away as a loss and destroy his credit.
White Jake would never have let this happen.
Seriously, this is the beginning of spreading the pain of the Palisades fire nationwide (so we’ll be on their side, but I digress). Helene and Milton, not so much.
Geez, does he still have a mortgage?
“Geez, does he still have a mortgage?’
Oh yes... The insurance is paid through the bank along with the Mortgage.
I priced auto and home insurance with USAA vs. State Farm several years ago. USAA came out ahead until the home insurance part. St. Farm beat them out by about the same amount. Decided to just stick with St. Farm.
They have jacked up a couple of my vehicles this last year or so though…
I assume you meant per month?
If you are talking about the HOA fees/due, yes...monthly. Here’s a condo in Encino. Over $1000 a month just for HOA. Some of that is probably earthquake insurance too.
More than the mortgage payment on a small place like this.
It’ll sure stabilize the market when State Farm pulls entirely out of California. Which it should. If necessary, divest the California State Farm subsidiary. Let it go bankrupt along with everything else in the state.
Didn’t State Farm face a class action case in the late 90’s for over charging.
If the first scam fails get better at it?.
USAA ain’t what they used to be. Every time I get a quote, they are the most expensive.
“””Decided to just stick with St. Farm.””
I’ve been with USAA for decades. good luck with State Farm if you ever have a claim.
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